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| Public Act 101-0033 | ||||
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AN ACT concerning education.
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Be it enacted by the People of the State of Illinois,
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represented in the General Assembly:
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Section 5. The Credit Card Marketing Act of 2009 is amended | ||||
by adding Section 40 as follows: | ||||
(110 ILCS 26/40 new) | ||||
Sec. 40. College Student Credit Card Marketing and Debt | ||||
Task Force. | ||||
(a) The General Assembly finds the following: | ||||
(1) This Act was designed, in part, as an adaptation of | ||||
the federal Credit Card Accountability Responsibility and | ||||
Disclosure Act of 2009. | ||||
(2) In the intervening years since the adoption of | ||||
these Acts, it remains an open question as to the extent to | ||||
which the federal Credit Card Accountability | ||||
Responsibility and Disclosure Act of 2009 has been an | ||||
effective measure to eliminate issues of student credit | ||||
card debt. | ||||
(3) Student credit card debt is an important issue that | ||||
needs to be examined, with the goal of reducing the amount | ||||
of credit card debt a student faces after graduating from | ||||
an institution of higher education. | ||||
(b) There is created the College Student Credit Card | ||||
Marketing and Debt Task Force, which shall consist of the | ||
following members: | ||
(1) a representative of a statewide organization | ||
representing credit unions licensed to operate in this | ||
State, appointed by the Secretary of Financial and | ||
Professional Regulation or his or her designee; | ||
(2) a representative of a statewide organization | ||
representing community banks licensed to operate in this | ||
State, appointed by the Secretary of Financial and | ||
Professional Regulation or his or her designee; | ||
(3) a representative of a statewide organization | ||
representing banks licensed to operate in this State, | ||
appointed by the Secretary of Financial and Professional | ||
Regulation or his or her designee; | ||
(4) a representative of Southern Illinois University, | ||
appointed by the president of that university or his or her | ||
designee; | ||
(5) a representative of the University of Illinois, | ||
appointed by the president of that university or his or her | ||
designee; | ||
(6) a representative of Illinois State University, | ||
appointed by the president of that university or his or her | ||
designee; | ||
(7) a representative of Eastern Illinois University, | ||
appointed by the president of that university or his or her | ||
designee; and | ||
(8) a representative of the Office of the Attorney | ||
General, appointed by the Attorney General or his or her | ||
designee. | ||
(c) The Task Force shall meet initially at the call of the | ||
Secretary of Financial and Professional Regulation, upon | ||
appointment of a majority of the members, to organize and to | ||
select one member as chairperson, who shall be elected by a | ||
majority vote of all of the members appointed to the Task | ||
Force. The Task Force shall thereafter meet at the call of the | ||
chairperson. All members shall serve without compensation, but | ||
shall be reimbursed for their reasonable and necessary expenses | ||
from funds appropriated for that purpose. | ||
(d) The Department of Financial and Professional | ||
Regulation shall provide technical and administrative support | ||
and any other necessary assistance to the Task Force and shall | ||
be responsible for administering the Task Force's operations | ||
and ensuring that the requirements of this Section are met. | ||
(e) The Task Force shall conduct a study that specifically | ||
examines all of the following factors: | ||
(1) The total cost of credit to credit card issuers for | ||
students, as a percentage of the credit card's average | ||
cycle-ending balance. | ||
(2) The percentage of Illinois students who pay off | ||
their credit card balances in full for at least 2 | ||
consecutive months. | ||
(3) The percentage of Illinois students who carry | ||
balances on their credit cards all or most of the time. | ||
(4) The total amount of credit extended to individuals | ||
between the ages of 18 and 21 in Illinois. | ||
(5) The total amount of credit extended to students | ||
pursuing an undergraduate education in Illinois. | ||
(6) The average number of new credit card accounts | ||
opened by a student pursuing an undergraduate education per | ||
5-year increments, beginning with the 2005-2006 academic | ||
year. | ||
(7) The total number of annual mail solicitations of | ||
pre-approved credit card offers targeted to individuals | ||
who are between the ages of 18 and 21 years old, and the | ||
annual percentage rates for those cards. | ||
(8) The total number of online solicitations of | ||
pre-approved credit card offers targeted to individuals | ||
who are between the ages of 18 and 21 years old, and the | ||
annual percentage rates for those cards. | ||
(9) The total number of social media solicitations for | ||
pre-approved credit card offers targeted to individuals | ||
who are between the ages of 18 and 21 years old, and the | ||
annual percentage rates for those cards. | ||
(10) A list of individuals who are between the ages of | ||
18 and 21 years old in this State who are targeted for | ||
pre-screened credit card offers, categorized by the | ||
percentage of students who are classified as Prime Plus, | ||
Prime, Non-Prime, and High-Risk. | ||
(11) The total number of credit cards issued to | ||
students with the following add-ons: (i) debt protection, | ||
(ii) identity or theft protection, and (iii) credit score | ||
monitoring. | ||
(12) The number of fee harvester credit cards marketed | ||
annually to students, including a credit card that charges | ||
a fee that exceeds 25% of the card's credit limit. | ||
(13) The number of students who pay their monthly bill | ||
solely through an online portal. | ||
(14) The number of student accounts with reward | ||
products providing points, including the value of the | ||
points, the rate at which points are earned, and the rules | ||
governing forfeiture of points. | ||
The Task Force may consult with any persons or entities it | ||
deems necessary to carry out the study under this subsection | ||
(e). | ||
(f) The Task Force shall report the findings of the study | ||
conducted under subsection (e) of this Section and any | ||
recommendations to the General Assembly on or before December | ||
14, 2019, at which time the Task Force shall be dissolved. | ||
(g) This Section is repealed on November 1, 2020.
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Section 99. Effective date. This Act takes effect upon | ||
becoming law.
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